Part 5 | Taking Charge of Chargebacks: A Hotelier’s Guide to Combating Fraud

Taking Charge of Chargebacks: A Hotelier’s Guide to Combating Fraud | Back to Main Page

PART FIVE

Chargeback Disputes: Tips for Preparing & Winning Your Case

The Dispute Process

By the time you're informed of the dispute, it takes another 60 to 75 days to resolve it if you counter. Acting quickly is critical.

Dispute Created

A dispute is created and delivered to the merchant.
A dispute fee is debited from account balance.
The disputed amount is refunded to cardholder.
In parallel, the merchant should reach out and encourage the customer to withdraw the dispute and determine if another solution, like a partial refund, can be agreed on.

Evidence Submission

If you deem that the charge is valid, submit evidence to prove the charge is legitimate.
If no evidence is submitted, the dispute closes automatically.

Bank Decision

If evidence is deemed sufficient, the charge amount is credited back to the merchant (however, dispute fees/penalties are not returned even if you win).
If evidence is deemed insufficient, dispute fees and the amount are not returned to the merchant.
The decision is the bank’s alone and the outcome is final.

DID YOU KNOW?

SertifiPay Customers Get Free Chargeback Dispute Support

If you're using SertifiPay to capture payments for your event and group business, our team of experts will compile evidence and manage disputes on your behalf at no extra cost. Hear the team's tips for winning disputes and some examples of us helping hotels earn back revenue.

Preparing for Your Counter

The burden is on your business to prove:

The person who made the purchase owns the card and authorized the purchase.
The cardholder understood and accepted your Terms and Conditions and cancellation / refund policy at the time of purchase.
The services to be delivered were clearly detailed.
The services were rendered or available.

The best response is to communicate with the cardholder. Solving the dispute without the bank involved is ideal.

BLOG POST

Early Fraud Warnings & Getting Ahead of Chargebacks

One way to bolster your fraud prevention strategy is to act quickly when you get an early fraud warning (EFW).

Read the Post

Tips for Effective Evidence Submission

Present a Clear Case

There is a human reviewing your case. Therefore, a clear, point-by-point narrative makes it easy for them to decide in your favor.

Address the Dispute Reason

Show that you’ve notified the customer and provide information that disproves fraudulent activity.

Stay On Point

Provide only the facts surrounding the original purchase, using a neutral and professional tone.

Provide Screenshots

Evidence is often transmitted by fax, so the reviewer cannot click on your links or enjoy full-resolution images. Always put relevant information into your evidence document.

Include Proof of Customer Signoff

Prove the legitimate cardholder was aware of and authorized the transaction in such cases. Any data that shows proof of this is a standard part of a compelling response. Examples include:

Signed contracts and receipts.
Proof they signed off on terms and conditions.
AVS (Address Verification System) matches.
CVC (Card Verification Code) confirmations.
IP address that matches the cardholder’s verified billing address.
Any other evidence of authorization (e.g., 3DS authentication).

Cater to the Reviewer

Use clear and concise communication that tells a story.
Outline the evidence you are submitting and why it supports your case.
Use bulleted lists explaining the evidence and why the charge is legitimate.
Use circles, arrows, and callout boxes to highlight and explain important parts of your evidence. Do not cover the text.
Include customer communications/emails.
Use large, high-resolution images (4.5MB limit).
Do not highlight text.
Put a complete URL instead of a hyperlink.

Jump to Part Six: Power in Partnerships: Choosing the Right Payment Solutions